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Cambodia needs $50 billion for multi-mode transportation connectivity
Cambodia needs $50 billion to implement a draft 10-year master plan for multi-mode transportation connectivity and logistics, according to a release by the Ministry of Public Works and Transport (MPWT).
Koy Sodany, secretary of state of Ministry of Public Works and Transport (MPWT), said that the draft master plan will include projects for the development of infrastructure for road, railway, expressway, waterway, seaway transportation systems, ports, airports and logistics.
Mak Sideth, director general of the general department of waterway and maritime transport, and ports at MPWT, told Khmer Times that the draft master plan is expected to be completed in 2024 or 2025.
“We have just started conducting the assessment, which would take normally at least one year to complete, but we will strive to complete it as early as possible,” said Sideth.
“The plan will include the restoration of waterway and maritime transportation systems by digging waterway deeper and wider,” he said.
Currently, vessels transport goods to Cambodia through Cai Mep International Terminal and Vung Tau Port in Ba Ria-Vung Tau province, both having about 15 metre depth.
He said larger vessels would wait for the water level to increase to reach Cambodia. When bigger vessels transport goods to Cambodia, they have to transit at Cai Mep and Vung Tau while small vessels from Cambodia would transfer the goods.
“Bigger vessels from countries would be able to come when we restore the waterway transportation systems. Some customers also complained that our water is shallow and they have to get through some ports where they have to pay more fees and submit documents,” he said.
Vietnam requires customers who ship used goods to Cambodia to request documents from Vietnam’s Ministry of Industry and Trade, he pointed out.
Any customer who uses either waterway or land way to transport goods stored in containers to Cambodia but transit in Vietnam is required to pay $100 per 20 cubic metres and $200 per 40 cubic metres.
“Ultimately our end consumers have to pay high prices for goods. They said the fee is charged for the development of Ho Chi Minh City,” he said.
The plan would allow Cambodia’s customers to ship goods directly into the country through either Kep province which could receive between 1,000 tonnes and 3,000 tonnes from vessels or Sihanoukville Autonomous Port, according to the official.
He added that after vessels arrive at Kep or Sihanoukville, they can come further to S’ang district in Kandal province. The vessels can then reach Phnom Penh through Phnom Penh Autonomous Port through a fresh waterway as the draft master plan also includes the development of connectivity from Bassac River to the coastal ports of Cambodia.
“So, when we have the master plan implemented, vessels will no longer have to get through Vietnam,” said Sideth.
“The master plan also includes plans to develop seeder ports, but we have to consider all aspects. We will examine where to set up the seeder ports for easier shipment of goods and how many of them should be set up dependent on the budget,” he said.
The draft master plan was presented in a discussion meeting between Sodany and Danucha Pichayanan, secretary general of the National Economic and Social Development Council of Thailand (NESDC).
Sodany signed the MoU with Pichayanan on Wednesday. It is aimed at building cooperation in developing policies that include logistics, legal framework, regulations, institutional framework, facilitation mechanisms, etc.
Source: https://www.khmertimeskh.com/501117273/cambodia-needs-50-billion-for-multi-mode-transportation-connectivity/